I had a remarkably similar scenario. Also with Bank of America.

I refinanced a 15 year 5.25 loan with B of A into a 30 year 4.875 no point loan. Locked it for 60 days with the appraisal fee about 6 months ago.

“Don’t worry, 60 days is more than enough for us to get this processed.” Right. And we’re just here to help you.

I submitted all paperwork within a week and the appraisal was done within 30 days. After about 90 days I called to ask when we were closing. “Oh, underwriting is really backed up. Don’t worry. Everything’s fine.”

Well past 120 days, I got a fed-ex package. “Sign all the documents and return it IMMEDIATELY or you’ll lose the lock in four days.” OK. Let’s look at the documents. Wait – what’s this 0.625 in points? This is a no point loan. “Oh, you’re appraisal didn’t come in right.” Really? Still less than 70% LTV even with the bank’s low-ball appraisal. And what about that Federal good-faith estimate form you sent me specifying the terms originally agreed to?

I crossed off the 0.625 points, recalculated their numbers and fed-ex’d back. They funded.

What is it with these guys? How big a crook do you have to be to unilaterally alter a major financial document and then rush someone into signing? Disgusting — and a Federal crime. I’ll bet they get away with it every day.